Novartis and Argo Biopharma Announce Strategic Collaboration to Co-Develop Cardiovascular siRNA Therapeutics

Intelligent Finance APP learned on September 3 that Argo Biopharma announced a new strategic cooperation agreement with Novartis (NVS.US) to jointly develop multiple cardiovascular products. This newly reached agreement is a further expansion based on the existing cooperation between the two parties, who first collaborated in January 2024.

This new cooperation agreement includes:

Authorization and Right of First Refusal

Argo Biopharma Grants Novartis Option Rights for Two Early-Stage Molecules Outside of China for the Treatment of Severe Hypertriglyceridemia (sHTG) and Mixed Dyslipidemia, Along with Preferential Negotiation Rights for BW-00112 (ANGPTL3). This product is currently in Phase II clinical trials in the United States and China, with subsequent combination therapy clinical trials to be led by Argo Biopharma.

Innovative Transaction Structure

For another siRNA candidate drug in the preclinical research stage, Argo Biopharma has granted Novartis an exclusive license outside of China, with a reciprocal option to share profits and losses (P&L) in the United States and China. This product is expected to enter Phase I clinical trials in 2026.

Licensing Fees and Equity Financing

Argo Biopharma will receive an upfront payment of $160 million and is eligible for potential milestone and option payments, as well as tiered royalties on commercial sales, with a total potential milestone value of up to $5.2 billion. In addition, Novartis has expressed preliminary interest in participating in Argo Biopharma's next round of equity financing. The specific details of its participation (including investment amount and timing) are still subject to routine due diligence and will be determined through negotiations and the signing of a formal agreement by both parties.